Builder misses amenities, to pay 10 lakh to buyer

It’s a stroke of good news for every flatowner promised the earth and then left with just a basic flat and few amenities.

It’s a stroke of good news for every flatowner promised the earth and then left with just a basic flat and few amenities.

A Mumbai-based construction company has been ordered to pay Rs 10 lakh to a flat owner for failing to provide promised facilities such as a gymnasium, a lift with a swipe-card facility, parking space and space for a society office.

Acting on a complaint filed by retiree Jugraj Madhani, owner of a 1,600-sq-ft flat in Ugam Presidency Society in Juhu, a Mumbai consumer court directed the builders of the housing society — Dev Constructions — to pay Rs 10 lakh for failing to provide the amenities specified in the purchase agreement.

Madhani filed his complaint in March 2008 seeking compensation of Rs16 lakh towards mental agony; a legal notice to the builder the previous year failed to have an impact, with the company stating in its response that it had complied with all the provisions of the agreement.

Based on the occupany certificate issued to the housing society by the Brihanmumbai Municipal Corporation, the Mumbai Suburban District Consumer Disputes Redressal Forum ruled in Madhani’s favour, stating that not providing common facilities as promised in the purchase agreement amounted to deficiency of service.

The bench of forum president JL Deshpande and member Deepa Bidnurkar,, however, thought it proper to limit the quantum of compensation. They gave the builder eight weeks to pay Madhani Rs10 lakh for mental agony caused and Rs 5,000 towards litigation costs.

If the construction company fails to pay the penalty within the stipulated time period, it will have to also pay interest at the rate of 9% per annum.